Avaliações

JM

This course is a great opportunity to get a very complete overview of the very basic facts behind energy business worldwide. Highly recommended!

KT

Dec 16, 2016

Filled StarFilled StarFilled StarFilled StarFilled Star

Great introduction to the world of energy business. Provides the basic tools one needs to further analyse energy firms and markets.

Na lição

Energy Supplies and Market Allocations

A broad range of primary resources are used to satisfy our need for energy. Accessing these resources depends on many factors, including available technologies and skills, and a number of political factors. We will address these factors as well as issues and trends in energy supply.

Ministrado por

Michael J. Orlando

Transcrição

So, we've seen now that the energy we use comes from a wide variety of primary sources. We'll look at where around the world these primary energy resources are located. And what we're going to notice is a relatively uneven distribution around the globe. For example, in 2011, global energy suppliers produced over 13 billion tons of oil equivalent. Oil made up the largest share of global supplies, roughly a third. But then followed relatively closely by coal and peat and then about a fifth of total supplies in the form of natural gas. So roughly over 80% of global supplies in the form of these kind of conventional non-renewable resources. In this video, what I wanna do is try to dig behind these values to understand the potential supplies. So these are the things that we actually consumed, illustrated on this chart. But the potential supplies are the bases behind each of these resources, what we call the reserves bases, or maybe potential resource capabilities that are developed by global producers. So before we do that however, let me spend just an extra moment to explain the measure that were going to look at here, at least in case of non-renewable resources. And that is reserves. In order to understand reserves, when you hear the term reserves, you need to understand first this concept of resources in place. This is kind of the ultimate base which reserves our determined. Resource in place as just the actual total magnitude of the resource that we have. So in the case of coal, it's just all of the coal in the world, which is a finite thing. It's a finite resource. It's an exhaustible resource. So one term is resource in place. Now the next term you have to understand is something we call technically recoverable resources. So of those resources in place, we can't technically get every single bit of it out of the ground. There may just be some degree to which it's kinda fixed in place, and the technologies we have in hand wouldn't allow us to get 100% of that. But that is not even the concept that we're thinking of when we say reserves because in addition to technically recoverable resources being some fraction of the resources in place, reserves are actually a fraction of technically recoverable resources. So reserves represent a much smaller portion of the technically recoverable resources. And what they represent, that fraction of the total, not only is technically recoverable but is commercially recoverable. That it would makes sense on a prevailing or anticipated economic conditions, those would be what you think you're gonna get, in the marketplace for selling the resource, what you're gonna have to pay to get it out of the ground in terms of labor and capital costs and all of that. So under prevailing economic assumptions, you have some reasonable likelihood of being able to recover a certain amount, a certain fraction of the resource in place. And that is what we call reserves.